Bombardier's CS300 Aircraft, showing its Pratt & Whitney engine in the foreground, sits in the hangar prior to its' test flight in Mirabel February 27, 2015.Reuters
Bombardier Inc. has hired an investment banker to steer the company's mergers-and-acquisitions deals.
The plane and train maker appointed Louis Véronneau, former managing director of investment banking at TD Securities Inc., to fill the newly created position of vice-president, M&A.
This is the latest hire at Montreal-based Bombardier, which is in the midst of a major restructuring and management overhaul under new chief executive officer Alain Bellemare as it tries to address a range of problems, including execution challenges at its rail division and cost overruns and delays on its aerospace programs.
Reporting directly to Mr. Bellemare, Mr. Véronneau will oversee partnerships, joint ventures, mergers, acquisitions and divestitures on a global scale, Bombardier said Thursday.
He will also play a leading role in the spinoff of a minority stake in the rail unit, Berlin-based Bombardier Transportation.
Mr. Véronneau has experience in deals totalling billions of dollars, Mr. Bellemare said in a news release.
"With his strong influencing skills and rich background combining law, investment banking, strategy and mergers and acquisitions, Louis brings tremendous experience to every aspect of his new role," he said.
"He will be a great asset for Bombardier as we continue to evaluate our strategic options to create value for our shareholders."
Mr. Bellamare said last month that a "range of scenarios" for BT besides a minority-stake IPO are being considered.
The cash from the sale of a stake in BT would help boost the company's financial position and partly fund the aerospace unit but also position BT for possible partnerships or joint ventures with other players, he said.
Bombardier is slashing 1,750 business-jet jobs in Montreal, Toronto and Belfast as well as slowing production of its long-range Global 5000/6000 line of corporate jets.
The aerospace division has been stretched thin as a result of a number of factors, including years of delays and a huge increase in the budget for the new C Series jetliner, which is expected to make its debut at the Paris Air Show next week.
There are 243 firm orders so far for the C Series and senior executives say they are sticking to their target of 300 by entry into service next year.
Bertrand Marotte